LECMPA - Company of the Year
Company: LECMPA, Southfield, MI
Entry Submitted By: Manardo Communications
Company Description: Attendance on Demand supports the needs of thousands of companies and 500,000-plus employees across North America with a cloud-deployed, workforce management solution. The solution minimizes users’ technology investment while providing advanced features for securely managing labor data—calculating pay rules, scheduling and budgeting labor, and automating recordkeeping for labor law compliance.
Nomination Category: Company / Organization Categories
Nomination Sub Category: Company of the Year - Insurance - Small
Nomination Title: LECMPA
Tell the story about what this nominated organization has achieved since January 1, 2016 (up to 650 words). Focus on specific accomplishments, and relate these accomplishments to past performance or industry norms.
Railroad and transportation workers may experience financial hardship if they are put out of service due to job discipline. Even when they are doing their jobs correctly, other crew members may not be and discipline results. Unlike the situation in other professions, these workers lose their income immediately in a discipline situation – whether they are at fault or not. The LECMPA was formed in 1910 to provide job insurance to cover income lost in these situations, so innocent workers don’t have to go without a paycheck.
This mission has remained the same today.
The LECMPA is owned entirely by its members, with no other stakeholders, so it remains 100% focused on meeting member needs.
In addition to its core members (engineers, conductors, brakemen and others who work directly in engine service or locomotive), the LECMPA recently expanded membership to include all unionized rail crafts (signal and communication, maintenance of way) and other unionized transportation professionals (truck drivers, loaders, etc.). This even includes the UPS – the first time those workers have ever been provided with job insurance opportunities.
The LECMPA offers a high level of benefits with affordable options for different risk groups. It has recently been able to expand benefits for members with no rate increases – an unusual among insurance providers. For example, it recently increased benefits for “Group B” members (roughly 40% its member base). The Group B package added coverage for up to 365 discipline days and accidental death benefits. Group B members carried over seniority and, in many cases, rates were lowered. Effective January 1, 2016, the LECMPA also improved benefits for its higher risk group, Group A, who held richer policies, adding accidental death and giving members more discipline days in the early years with up to 365 total days at the policy’s full maturity – all without raising benefit costs.
The LECMPA often goes above and beyond to provide members with needed benefits. For example, it recently took on the California legal system. The state had a legal prohibition preventing the LECMPA from offering accidental death insurance to members. To address this, the LECMPA worked to have California’s enabling statute changed. Thanks to this effort, the organization has been able to offer such benefits to California-based members since 1/1/2015. California was the only state with this prohibition, so member coverage is now complete and consistent across the nation.
The LECMPA measures performance in four ways: the size of its membership base, the responsiveness of customer service, the breadth of benefits, and the size of financial reserves (since reserves provide security for member payouts).
So, how is it doing?
Its membership base is nearly 31,000, the highest it has been in a decade, reflecting growth of nearly 10% just since January of 2015.
The LECMPA has been profitable for 8 consecutive years. From $5.5 million in 2007, the organization has grown reserves to over $50 million today – a tenfold increase!
The LECMPA is currently exploring other growth opportunities and benefit enhancements. This includes planned expansion and further diversification of its United Parcel Service member base.
With regard to customer service, speedy and effective claims processing and response to members’ questions are the goals. Average claims turnaround time is 3 days, and average response time is zero when members call during business hours. Team members attend regular training and professional development activities to continuously improve service. The team has been honored with national customer service awards; just since the beginning of 2015, they have received nearly a dozen such awards.
The LECMPA is also dedicated to supporting the community, contributing annually to union-sponsored safety and education initiatives as well as fundraisers for members and families in need. Several employees, including the president, are involved in adopting rescue dogs.
The LECMPA workforce has an average tenure of 20 years and virtually zero absenteeism, testament to its culture and great work ethic.
In bullet-list form, briefly summarize up to ten (10) of the chief accomplishments of this organization since the beginning of 2016 (up to 150 words).
Here are some of the customer service team’s recent accomplishments:
-Upgraded security and launched new security training.
-Attained California enabling statute so it can offer accidental death coverage to California-based members.
-Issued expanded quarterly newsletters to help members maximize benefits.
-Expanded benefits for most members – at lower cost.
-Achieved average claims turnaround time of 3 days.
-Expanded claims data access for state representatives.
-Achieved zero customer service wait times during business hours.
-Identified and participated in training in order to improve member service.
Of the following measures of success, which ONE do you want the judges to most appreciate about your organization's story of achievement since the beginning of 2016?